I’m new here and need some assistance! I attempted to summarize my situation as clearly as possible.
I originally wanted to keep my payment at $500, but after reviewing the numbers, I thought $575 (including taxes) would be reasonable. I purchased my 2020 Honda that I had leased, and unfortunately, I’ve had a terrible service experience with it. Because of this, I really want to move on from my Honda. I had equity in it, which was a big reason for my decision to buy; I tried very hard to avoid dealing with the dealership, but they didn’t appreciate that I paid for it upfront!
Here’s the deal I asked for:
7% off MSRP
.0014 Money Factor (MF) [which I was quoted by another dealership]
56% Residual Value (RV) [which I was quoted by another dealership]
36 months/10,000 miles
$3,500 rebate (consisting of $1,000 for the 2020 Honda incentive and $2,500 in bonus cash incentive)
Pay off my trade-in and zero down, with an out-the-door payment of $575 (including taxes)
The offers below are from the same deslershipp. Additionally, I’ve obtained quotes for my trade-in, which is in good condition with low mileage since I work remotely four days a week. I’m roughly $2,000 upside down, but I see that dealerships are listing similar vehicles for more, even with higher mileage and past accidents which seems insane.
Here are my questions:
Am I being unrealistic in asking for a $575 payment (including taxes)? Is that unreasonable?
I noticed that the trade-in value was shifted to the MSRP discount in the second offer. I’ve read that a 7% discount isn’t uncommon, and I want that discount along with my trade paid off. Should I push for both?
I’ve heard that add-ons can be removed, but both dealers said they couldn’t. What should I do?
In both offers, I see charges for advanced payments, upfront charges (like the doc fee), and a total cap reduction of $1,897.05, totaling $3,500, which seems to negate my discount. It also shows $0 on delivery. What’s going on here? Am I expected to come out of pocket, or is this genuinely a $0 out-the-door quote?
My final and most important question is: How can I get the finance guy to work with me remotely? I want the final offers emailed to me to review and sign before going into the dealership. I don’t want to spend hours there. Is it possible to get the exact documents I’m expected to sign emailed to me? I’ve been told yes and then it’s no.
Even your $575 aspiration would be a terrible deal TBH
People are paying low to high $300s for the PHEV hybrid version. Search Signed Deals & Tips
What’s your motivation to dump the Passport just as you’re entering the flatest part of the depreciation curve, i.e. at the moment you’re beginning to accrue equity?
I originally wasn’t interested in a PHEV (Plug-In Hybrid Electric Vehicle) because I prefer simple and “old school” options. However, I’m not well-educated about PHEVs, and since I’m just leasing, I should definitely look into it.
There is quite a backstory regarding my Honda. When my lease was expiring, Honda wanted me to get out of it early. I went to a credit union to obtain pre-approval for a purchase, but Honda blocked it due to a third-party issue. Unfortunately, the dealership negatively impacted my credit score, and after reviewing my lease, I was nervous that they might include additional charges for breaking it. I decided to return the following month when the lease was set to expire, but they hit me with high interest rates, which dealerships can do. At that point, I was just frustrated.
Earlier this year, I noticed that my car was driving strangely. The key fobs worked intermittently, even after I replaced the batteries in both multiple times. Additionally, there have been numerous recalls, and there is still one outstanding safety recall since February of this year that remains unresolved because they don’t have the parts.
The final straw was when the car died while I was stopped at a red light, and I couldn’t get it started again. This happened on a very busy highway. I go into more detail in my review linked at the bottom if you want to check it out. With the auto start-stop issue, ongoing recalls, and transmission concerns, I’m just unsettled driving it.
Any other advice, suggestions, or recommendations, I am all ears. I really need to better understand, and I would rather not pay for a lack of knowledge or research.
I would switch to PHEV as per above post.
Check Ratefinder on LH for your local rebates and use this as a guadline for the deal.
It is not unicorn but will provide some basic info.
575 is very high to aim for as stated above. I am in Texas and with our taxes managed 500 for a fully loaded premium plus PHEV (59k). Have you checked the marketplace? There are brokers in your area that will simplify the process for you and get you well under your 575 target
I am looking into the PHEV now and will be all over market. place!
Any suggestions on standard discount from MSRP i should be requesting and not settle for less?
Dealership responded to my Total Cap Reduction question and his response was - “Total cap reduction is the amount you are supposed to put down on the lease known as “Starts”. However, we are absorbing that amount for you.”
